Reef cash 'extraordinary abuse of process'

Federal Labor has described a $444 million grant to the Great Barrier Reef Foundation as an "extraordinary abuse of process", as the national auditor considers whether to fast-track an inquiry into the handout.

"This is not just like winning the lottery, it's like winning the lottery when you haven't bought a ticket," Labor deputy leader Tanya Plibersek told Sky News on Tuesday.

"It is an extraordinary abuse of process."

The grant was given to the foundation, which has six staff, without a competitive tender process, and exact plans for how the money will be spent aren't yet clear.

Environment Minister Josh Frydenberg insists "extensive due diligence" was undertaken before the money changed hands, but Ms Marsden says nobody from the foundation was aware the diligence process was underway at that time.

Environment Department secretary Finn Pratt has written to Commonwealth Auditor-General Grant Hehir asking him to bring forward a proposed audit of the grant due to increased public and media attention.